Economist Intelligence Unit Forecasts Mongolia as the Second Fastest Growing Economy

By B.KHASH-ERDENE

Mongolia is expected to be the second fastest growing economy in the world with 13.5 percent GDP rise in 2013, according to the latest estimations by the Economist Intelligence Unit (EIU). EIU is an independent business under the media giant Economist Group based in London.
Through research and analysis, EIU offers forecasting and advisory services to its clients. It provides country, industry and management analysis worldwide and incorporates the former Business International Corporation, a U.K. company acquired by the parent organization in 1986. It is particularly well known for its monthly country reports, five-year country economic forecasts, country risk service reports, and industry reports. The company also specialises in tailored research for companies that require analysis for particular markets or business sectors. 2006 marked the 60th anniversary of the Economist Intelligence Unit’s inception.
According to the report, China’s demand for Mongolia’s minerals has dramatically increased foreign direct investment into this country. The OyuTolgoi mine, considered as one of the world’s largest unexplored copper and gold mines, is the largest project undertaken in Mongolia and is expected to boost Mongolian economy by third when it is fully operational. A strategic partnership between the Government of Mongolia and Rio Tinto, OyuTolgoi is scheduled to begin the commercial production in 2013, boosting the production and providing jobs to tens of thousands.
The EIU’s estimated top performer Macau’s economic growth is also dependant on China. The main economic driver of Macau are Casino, whose main income comes from Chinese gamblers who are expected to fill the Macau Casino’s in 2013.
China itself is set to grow by over 8 percent this year, and potentially more, depending on how the rest of the world fares according to EIU study.